Distribution prize money in F1 also tackled: "Especially those teams benefit"

Ross Brawn has explained the budget cap of 145 million dollars that should apply in Formula 1 from 2021. According to the top man of Liberty Media this measure will ensure an 'economically sustainable Formula 1' and the smaller teams should soon also be able to fight for the podium places.

"The budget cap's initial objectives were a more competitive field and I think with the situation we have now, then the economic sustainability of Formula 1 is the priority", says Brawn to Sky Sports. According to the British, everyone in Formula 1 has an interest in that. "I think that counts as much for the big teams as it does for the small teams."

Owners of teams insisted on lower costs

Especially the owners of the Formula 1 teams have urged Liberty Media to reduce costs if they want to remain active in the pinnacle of motorsport in the future. "It has become very clear from the people who stand above some of the team principals and management of these teams that the message is clear - we've got to cut costs", Liberty Media's sports director explains.

Not only the budget ceiling has been tackled, the distribution of the prize money will be different as well. That is included in the new agreement, says Brawn. “Midfield teams in particular are going to be much better off in terms of their portion of the prize money. So it’s being balanced in every direction", he says. "We reduce the amount of money that can be spent in Formula 1 and we’re improving the distribution of the prize funds more evenly amongst the teams."

Future of Formula 1 outlined

Ultimately, these measures should reduce the gap between the top teams and the teams behind them. "A good midfield team should be able to score podiums, maybe even a win, and it should make a small profit. And if we can achieve that then we’ve got a very sustainable future," concluded Brawn.